HARTFORDBUSINESS.COM | APRIL 1, 2024 19
Hartford HealthCare to use $150M in new debt
financing for systemwide facility upgrades
A rendering of the Connecticut Proton Therapy Center planned for 932 Northrop Road in Wallingford.
RENDERING
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CONTRIBUTED
By David Krechevsky
davidk@hartfordbusiness.com
H
artford HealthCare will use
up to $150 million in new
debt financing to fund signifi-
cant upgrades at its various hospitals
and a new proton therapy center it's
developing in Wallingford in partner-
ship with Yale New Haven Health.
The debt is being issued through
the Connecticut Health and Educa-
tional Facilities Authority (CHEFA), a
quasi-public state agency that issues
tax-exempt bonds and debt on behalf
of nonprofit institutions.
CHEFA is involved in most debt
issuances by Connecticut hospitals,
whether they are traditional public
bond offerings or private placement
deals with banks.
Since nearly all Connecticut
hospitals are nonprofit organizations,
they have access to tax-exempt debt
issuances, which makes borrowing
cheaper and more affordable.
CHEFA's board of directors in
December voted unanimously to
approve Hartford HealthCare's
financing request, which includes
two separate direct placements with
Morgan Stanley, according to CHEFA
and HHC.
One direct placement of up to $35
million is expected to close by the
end of April, HHC said, and will be
used to help finance the planned
proton therapy center, which is slated
to be built in Wallingford, at 932
Northrop Road.
Yale New Haven Health, Hartford
HealthCare and Proton International
announced in April 2022 that they
secured final approval to build and
open the $75 million Connecticut
Proton Therapy Center, which will
provide an advanced form of cancer
radiation treatment.
